Volkswagen, the German carmaker, has approved plans to cut another 50,000 jobs by 2030 as it seeks to reduce costs and improve competitiveness.
According to the BBC, the group, which includes Audi, Porsche, Skoda and the Volkswagen brand, is also considering the future of four of its plants in Germany.
In a statement, Oliver Blume, Volkswagen’s chief executive officer (CEO), described the latest plan as a “strong signal” for the company’s future, saying the group is “taking responsibility for our entire workforce”.
Blume said Volkswagen needs to fundamentally adjust its global workforce to safeguard its competitiveness amid shifting demand and technological change.
“A group-wide workforce adjustment of approximately 50,000 positions – including management roles – will be necessary,” Blume said.
The German automaker also plans to reduce the number of models it produces by 50 percent by 2035 and cut the complexity of its offering by 75 percent.
Volkswagen said it would prioritise its “most compelling vehicles” and increase production volumes for each model as part of efforts to reduce costs.
The company is also weighing options for its operations in Emden, Zwickau, Hanover and Neckarsulm, where production capacity currently exceeds demand.
“Alternative uses for these plants are being assessed,” Volkswagen said.
The latest announcement comes after Blume said in July that the company was considering further job cuts.
The additional 50,000 positions bring the total number of jobs Volkswagen plans to eliminate to 100,000, following its announcement in March that it would cut 50,000.
